Airgas Announces Pricing Actions Effective December 1, 2007
October 10, 2007 at 09:00 AM EDT
Airgas, Inc. (NYSE:ARG) today announced that beginning December 1, 2007, or as contracts permit, its operating units will increase prices on bulk and packaged gases. Prices will increase, on average, as follows:
Airgas also will raise rental rates for cylinders and bulk tanks and other delivery and service charges up to 15%.
Higher raw material, energy, electricity, and labor costs have led to increases in costs for products from suppliers as well as operating costs at Airgas plants and distribution facilities. The company also has seen higher prices for cylinders, bulk tanks, gas handling plants and equipment, due to rising metal prices, which all factored into the pricing actions.
“We face these rising costs, even while demand continues to be strong across our customer base,” said Airgas Chairman and Chief Executive Officer Peter McCausland. “Airgas associates are working hard every day to meet our customers’ needs. We will continue to invest in our infrastructure so we can meet the demands of our customers, improve operating efficiencies, and fulfill the safety and security requirements of our industry.”
About Airgas, Inc.
Airgas, Inc. (NYSE:ARG), through its subsidiaries, is the largest U.S. distributor of industrial, medical, and specialty gases, and hardgoods, such as welding equipment and supplies. Airgas is also one of the largest U.S. distributors of safety products, the largest U.S. producer of nitrous oxide and dry ice, the largest liquid carbon dioxide producer in the Southeast, and a leading distributor of process chemicals, refrigerants, and ammonia products. More than 14,000 employees work in over 1,100 locations, including branches, retail stores, gas fill plants, specialty gas labs, production facilities and distribution centers. Airgas also distributes its products and services through eBusiness, catalog and telesales channels. Its national scale and strong local presence offer a competitive edge to its diversified customer base. For more information, please visit www.airgas.com.
This press release may contain statements that are forward looking, as that term is defined by the Private Securities Litigation Reform Act of 1995 or by the Securities and Exchange Commission in its rules, regulations, and releases. These statements include, but are not limited to, statements regarding: announced price increases for the Company’s products and services beginning December 1, 2007, or as contracts permit; anticipated rising costs and tight supply conditions; improving our operating efficiencies to contain rising costs; continued strong demand across our customer base; and continued investment in our infrastructure to meet customer demands, improve operating efficiencies and fulfill safety requirements of our industry. The Company intends that such forward-looking statements be subject to the safe harbors created thereby. All forward-looking statements are based on current expectations regarding important risk factors and should not be regarded as a representation by the Company or any other person that the results expressed therein will be achieved. Important factors that could cause actual results to differ materially from those contained in any forward-looking statement include: the Company’s inability to successfully implement the price increases, including our customers’ acceptance of increased prices; an economic downturn; increased industry competition; adverse changes in customer buying patterns; increased energy costs or metal prices in amounts higher than anticipated; catastrophic weather events, significant political and economic uncertainties associated with current world events; and other factors described in the Company’s reports, including Form 10-K for our fiscal year ended March 31, 2007, subsequent Forms 10-Q, and other documents filed by the Company with the Securities and Exchange Commission.